What statistic measures the average price level that is faced by citizens of a country as they make their household purchases?
A) GDP deflator
B) producer price index
C) gross national product
D) consumer price index

Question

Quizplus · Accepted Answer

The Consumer Price Index (CPI) measures the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services, reflecting the cost of living and the average price level faced by citizens for their household purchases.

What Statistic Measures the Average Price Level That Is Faced